6A —October 13 - 26, 2017 — Financial Digest — M id A tlantic
Real Estate Journal
F inancial D igest $5.965m arranged for gut renovated Newark central business district mixed-use asset Progress Capital Advisors’ Domenico secures financing through Sabal Capital at a 75% loan to value N EWARK, NJ —While there has been some softening in multi-
f ami l y d e - ve l opment s throughout t h e US a s mo r e s u p - ply hits the ma r k e t i n Q4, Newark is experienc- ing a surge in
sales, acquisitions and con- struction lending particularly within this sect or. Recently, Progress Capital Advisors Brad Domenico completed Brad Domenico
127 Halsey St.
Multi-family asset in the suburban Weequahic neighborhood the financing of a re-positioned mixed used asset at 127 Halsey St., the intersection of Halsey St. and Raymond Ave., in the heart of the downtown Central Business District. The borrow- er, having previously acquired the property in 2016, completed gut renovations of the building in August of 2017 and sought to enter into a permanent mortgage.
Working with Sabal Fi- nancial , Domenico arranged a $5.965 million non-recourse loan with 24 months interest- only, representing a 75% loan to value. The loan is secured by the aforementioned property – a four story mixed-use building with five one-bedroom and 11 two-bedroom loft style apart- ments with three St. level retail units. Currently a Krauzer's convenient store and restau- rant Harvest Table occupy the retail space. The loan is structured on a 20 year term with an initial rate of 3.95% fixed for 7 years and 30 year amortization. The borrower can choose to pay off the loan early with a 5-5-4-4- 3-2-1-1 declining pre-payment schedule with no penalty if the loan is satisfied in the last three months of the term. In a second transaction, Do- menico arranged $3.4 million non-recours e loan to acquire a multi-family asset in the subur- ban Weequahic neighborhood. The loan is secured by a six- story building with 58 units including four studio, 27 one- bedroom and 17 two-bedroom apartments. At a purchase price of $4.5 million and with borrower equity of $1.2 mil- lion this loan represents a 75% loan to purchase. The term of the loan is 12 years at a rate of 3.625% fixed for 7 years and a declining pre-payment schedule. n
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